Value Add Properties - Commercial Real Estate Investments

Value add properties are riskier than core properties, but offer the possibility of greater profits. This is done by renovating or re-purposing the property so that greater value can be obtained. Investors who choose to invest in value add properties carefully examine the property to determine how they can increase the cash flow as quickly and inexpensively as possible.

Some examples of value add improvements include:

• Cosmetic improvements that update the building and increase appeal to higher quality tenants
• Improving management
• Lowering expenses
• Raising rent to market rates

Once the investor has successfully increased the cash flow of a value add property they may either hold the property long-term or sell it in order to capture the increased equity. This equity can then in turn be used as leverage on a new property.

Call one of our friendly agents if you are interested in building an investment portfolio. They will show you opportunities and guide you through purchasing, financing, closing and leasing properties. Your success is our success!

Resources

Fully Leased Strip Center  

395 Cary Algonquin Road

Cary

15,000 SF 7-unit retail center, 100% leased. 7.7% CAP rate. 

Same owner has 2 other fully leased industrial buildings for sale.

Multi-Tenant Industrial 

6213-15 Factory Road

Crystal Lake

22,630 SF brick and steel 5-unit user/investor property with up to 17,630 SF for lease.

3,574 - 22,864 SF high quality corporate office space for sublease at below market rents.

Income Producing -  Just Listed!

7103 Manor Road

Crystal Lake

1,885 SF 3 tenant commercial building just off Route 14. 1 unit is vacant (885 SF) for user/investor.

Industrial Price Dropped!

885 Anita Avenue

Antioch

19,136 SF Lake County industrial building on 2 acres. 2,232 SF office 16,904 SF warehouse with 15' ceilings and 5 ton crane.

411 River Road

Elgin

52,000 SF

Office/Mixed Use

Heather Schweitzer, Bruce Kaplan & Joe Billitteri 

4087 - 4097 Algonquin Road

Algonquin

8,900 SF

Retail Investment

Heather Schweitzer & Tina Kropke

735 Industrial Drive

Cary

14,750 SF

Industrial Investment

Heather Schweitzer

1625 W. Colonial Parkway 

Inverness

5,885 SF

Office

Joe Heffernan

77 W. Main Street

Cary

3,018 SF

Mixed Use Investment

Bruce Kaplan & Kevin Kaplan

Commercial leasing fundamentals remain poised for expansion this year. Examine data and trends revealing how the commercial market is being boosted by an expanding economy, employment, and recent tax reform.

NAR's latest Commercial Real Estate Outlook offers overall projections for four major commercial sectors and analyzes quarterly data in the office, industrial, retail and multifamily markets.